Fraud amounting to about N3.62 billion fraud was perpetrated through the Automated Teller Machines (ATMs); Point of Sales (PoS) machines, mobile and other electronic channels and cash as of the third quarter of 2022.
The FITC, which disclosed this in its ‘Report on Frauds and Forgeries in Nigerian Banks’ Q3, 2022, said bank personnel carried out all cash theft cases reported within the period.
Specifically, the 18-page document revealed that in the third quarter of 2022, 19, 314 cases were reported, compared to 20, 195 witnessed in the same period in 2021, which was a decrease of 4.36 per cent.
However, the total amount involved dropped from N34.8 billion to N9.62 billion, a decrease of 72.34 per cent. But the total amount lost in the same period last year was N853,167,293.61 (2021) against N3.62 billion in Q3, 2022, representing an increase of 324.50 per cent.
According to FITC, outsider involvement in frauds increased, moving from 14,243 in Q3, 2021 to 16,125 a year after, which was a 324.50 per cent rise. Insider (staff) involvement increased significantly from 32 in Q3, 2021 to 112 in Q3, 2022, a 250 per cent rise. Within this period, 14 appointments were terminated in Q3, 2021 while 20 bank staff were relieved of their duties a year after.
Further analysis showed that 22 tellering fraud was reported in the period under review, which involved four bank staff only and five outside persons with 10 people colluding, where N121, 763,258.91 were involved and actual loss was put at N83.5 million.
FITC said 36 forged cheques and signatures were reported with the involvement of four bank staff and 12 outside persons, where N521, 349,800.96 were involved but N305.4 million was lost.